(Reuters) - MasterCard Inc (MA.N: Quote) reported higher third quarter profit on Wednesday which easily beat Wall Street estimates, on double-digit increases in volumes.

Shares rose 7.6 percent in premarket trading on the news.

The Purchase, New York-based card processing company reported net income of $716 million, or $5.63 per share, up from $519 million, or $3.94 per share, a year before. Revenue rose more than 27 percent to $1.8 billion.

Analysts had estimated MasterCard would earn $4.82 per share, according to Thomson Reuters I/B/E/S. It was the company's biggest earnings beat in the last two years, according to Thomson Reuters data.

MasterCard said gross dollar volume rose 18.1 percent, while transactions processed rose 20.5 percent.

The company has increased its efforts to poach U.S. business from rival Visa Inc (V.N: Quote), just as Visa is expanding its international business.

Within the last year, MasterCard has signed contracts with banks like SunTrust Banks Inc (STI.N: Quote) to process card transactions, gaining clients that once worked with Visa.

MasterCard said on Wednesday it is also having some success internationally, with growth in transaction processing in Brazil and the Netherlands contributing to results and an expansion in Italy on the horizon.

MasterCard shares have risen 50 percent this year, bucking a broader, year-long decline in financial services stocks.

The company said it bought back $77 million worth of stock in the third quarter and has bought back another $3 million already in the current quarter, leaving $879 million left under its current program.

(Reporting by Joe Rauch in Charlotte, N.C., and Ben Berkowitz in New York, editing by Gerald E. McCormick, Dave Zimmerman)